Pemco World Air Services Files for Bankruptcy to Sell Assets

March 5 (Bloomberg) -- Pemco World Air Services Inc., which
provides aircraft maintenance and repair services, sought
bankruptcy protection with plans to sell the company at auction.

The company, based in Tampa, Florida, listed assets and
debt of $50 million to $100 million each in Chapter 11 documents
filed today in U.S. Bankruptcy Court in Wilmington, Delaware.
Two affiliates also sought court protection.

The company will also “complete a prompt and orderly
liquidation of substantially all of their remaining U.S.-based
assets,” Ward said.

Pemco will seek court approval to borrow as much as $37.8
million from Avion Services Holdings LLC to help fund operations
while in bankruptcy, according to court documents. Avion, a Sun
Capital affiliate holding $31.8 million in Pemco debt, has been
chosen to act as the initial bidder at the auction.

The company claims to be the world leader in narrow-body
aircraft cargo conversions with more than 300 completed, court
papers show. Founded in 2007, Pemco has about 877 employees at
three service facilities in Tampa, Dothan, Alabama, and
Erlanger, Kentucky.

The case is In re Pemco World Air Services Inc., 12-10799,
U.S. Bankruptcy Court, District of Delaware (Wilmington).